Paramount provides personal guarantee of USD40.4B to acquire WBD

(MENAFN) Paramount has revised its proposal to acquire Warner Bros. Discovery, reaffirming a cash offer of $30 per share and reinforcing the bid with substantial financial backing from billionaire Larry Ellison.

According to reports, the updated proposal was submitted to address issues previously raised by Warner Bros. Discovery. Paramount emphasized that it is still prepared to acquire full ownership of the company, stating: "Paramount continues to offer to purchase, for $30 per share in cash, 100% of the outstanding shares of WBD, and therefore will assume all assets and liabilities of WBD."

As part of the revised terms, Larry Ellison—Oracle’s founder and Paramount’s controlling shareholder—has provided an irrevocable personal guarantee tied to the transaction. This guarantee includes $40.4 billion in equity financing and protection against any claims that could arise in connection with the deal.

Reports further indicate that Ellison, who is also the father of Paramount CEO David Ellison, has pledged not to move assets in a way that could undermine the proposed acquisition, nor to alter the Ellison family trust while discussions remain underway.

Earlier this month, Warner Bros. Discovery agreed to sell its studio and streaming operations to Netflix in a separate transaction valued at approximately $83 billion. In contrast, Paramount has reiterated its interest in purchasing the entire company, including its television network assets, assigning an enterprise valuation of $108.4 billion to Warner Bros. Discovery.

Despite Paramount increasing its proposed reverse termination fee to align with Netflix’s terms, Warner Bros. Discovery’s board recently urged shareholders to reject Paramount’s offer and instead back the agreement with Netflix. Paramount, however, has maintained its stance, arguing that its bid remains "superior," even without raising the headline offer in its latest revision.

MENAFN23122025000045017281ID1110515545